PRESS DIGEST-Sunday British business

LONDON, Oct 13 (Reuters) - British newspapers reported the following business stories on Sunday:

The Sunday Times

CANADIANS PLOT 8 BLN STG RAID ON RBS ARM

One of Canada's biggest banks is considering an opportunistic swoop on Royal Bank of Scotland's American retail banking business. Toronto-Dominion Bank has long coveted Citizens, which is worth about 8 billion pounds ($12.8 billion).

UK GOVERNMENT THREATENS SERCO

Serco Group faces a six-week deadline to improve its performance and demonstrate "change and corporate renewal" or risk losing three big government contracts, including its 285 million pound ($454 million) prisoner escort contract.

GREEN LIGHT FOR GIANT NUCLEAR SUBSIDIES

Britain's coalition government is poised to unveil a landmark deal to underwrite construction of the UK's first new atomic power station for two decades. The agreement will guarantee tens of billions of pounds in subsidies over decades for EDF, the French nuclear monopoly, and China General Nuclear (CGN), Beijing's state-owned giant.

The Sunday Telegraph


CUT EU RED TAPE, CAMERON TOLD

The European Union should cut or amend 30 pieces of red tape in a bid to ease regulation on British business, a panel of leading businessmen, including Marks & Spencer Chief Executive Marc Bolland and former Diageo CEO Paul Walsh, will warn Prime Minister David Cameron this week.

BT IN FOOTBALL FOR "LONG TERM'

BT Group will take part in the next round of bidding for Premier League broadcasting rights, said non-executive director Tony Ball, heralding it as a "long-term project". He also said there would be logic in 21st Century Fox bidding for the 61 percent of BSkyB it does not own.

COMET OWNER TO RECOUP 117 MLN STG FROM RETAILER'S COLLAPSE

Almost 117 million pounds is to be returned to Henry Jackson's OpCapita and its backers from the demise of electrical retailer Comet, according to new documents.

CO-OP BANK INVESTORS WANT SAY ON BOARD SEATS

Investors are pushing the Co-operative Group to hand them a say in the appointment of independent directors to the mutual's banking arm.

MORRISONS EYES BIRMINGHAM FOR ONLINE TRIAL

Supermarket group Wm Morrison is considering launching its new online grocery service in Birmingham. The company intends to launch the service through a tie-up with Ocado but so far the initial location has remained under wraps.

INVESTEC OFFSHORE UNIT SALE NEARS

Investec, the Anglo-South African investment bank, is in late-stage talks to sell its 4 billion pound offshore investment trust administration business to boutique merchant bank Salamanca.

The Independent on Sunday

TRAVELEX SET FOR 1 BLN STG FLOTATION

Apax-owned Travelex has joined the rush for a listing on the buoyant London Stock Exchange, as the world's biggest foreign-exchange specialist eyes a 2014 share sale that would value the business at more than 1 billion pounds.

Mail on Sunday

WH SMITH SORRY OVER GRAPHIC E-BOOK SALES

WH Smith issues apology after sales of sexually graphic e-books are revealed by newspaper.